Allan was chosen for the role at a Labor caucus meeting at state parliament this afternoon.
Public Transport Minister Ben Carroll has been selected as the deputy premier after a late push from the Labor right faction.
Allan addressed media outside parliament shortly after the caucus meeting ended.
“I have been endorsed unanimously by my caucus colleagues to replace the fabulous Daniel Andrews as leader of the Victorian parliamentary Labor Party, and in turn follow in his footsteps as premier of Victoria,” she said.
“It is such a deep honour and privilege to be in the position to be heading to Government House and to be sworn in as premier of Victoria.
“And can I say, 24 years ago, almost to the day, when I walked into this place as a much younger woman from regional Victoria, I never expected to have this length of service or indeed to be able to have had the honour and privilege of serving the Victorian community in various ministerial roles.”
Allan took the opportunity to praise Andrews.
“There’s been lots written in just the last 24 hours about Daniel and Daniel Andrews’s leadership, his strength, his courage, his determination,” she said.
“He’s been driven by his values every single day he has served the Victorian community.”
Allan said both she and Carroll had been raised by ”working people” and vowed to continue to work hard for Victorians.
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“I pledge to the Victorian community that I will continue to work hard as I’ve done every single day as a Member of Parliament,” she said.
“But I also come to this role with the opportunity to continue the strong reform agenda and also chart a future course for the state and in coming days and weeks I will have more to say about policy priorities that I will be bringing.”
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She will be only the second female premier in Victoria’s history, after the late Joan Kirner.
Allan, 50, was elected to parliament in 1999 as Member for Bendigo East in regional Victoria.
She was appointed deputy premier in June last year and is currently Minister for Transport Infrastructure and Minister for the Suburban Rail Loop.
Allan is married with two primary school-aged children.
After Andrews announced his resignation yesterday, Allan took to X, formerly Twitter, congratulating him and saying she wanted to continue his work.
“Congratulations Premier. An unparalleled legacy that has changed our state forever & for the better,” she wrote.
“Thank you for your leadership & your friendship. I will be putting myself forward to lead our party & continue the extraordinary work of our Labor government.”
